Fellow shareholders –
I wanted to provide a quick update and overview on our recent Nasdaq-related announcements, including the one we issued yesterday.
Those of you who follow us closely know that we’ve had our fair share of filings and disclosures this year about our listing. Given the changes we have made – and continue to make – to our basic business model, this kind of cascade of exchange-related updates isn’t unprecedented.
It can get confusing, however. So, as we wind this year down, I wanted to summarize where we are at – because it’s important that all our shareholders recognize why we believe that we’re in great shape with respect to our listing heading into 2025.
Specifically, with respect to two key Nasdaq standards – bid price compliance and stockholders’ equity – the exchange has recently confirmed in separate letters that TRNR fully meets Nasdaq’s requirements. Our stock has traded above $1.00 for a defined period; and we also reported, as part our Q3 earnings, $5.8 million of stockholder equity, well over the required $2.5 million minimum. There is a third Nasdaq standard related to publicly held shares, but we had addressed this deficiency before we received the letter and it is a prerequisite to be in compliance with this standard before a company can be in compliance with the $1.00 share price rule, so we did not specifically address it.
As I noted in our releases, the confirmations from Nasdaq are exciting news, as it allows us to keep our focus on running and growing TRNR’s businesses. On that front, we’re proud of our steady progress, as our performance over the course of 2024 shows steady improvement sequentially as well as year on year, on both our top and bottom lines.
The market makes its own determinations, of course, but we believe we are very much on the right track with the strategy outlined in our recent quarterly shareholder letter. We’ll have more to report with respect to how we are executing against this strategy in the coming weeks – and of course we also expect to have more commercial progress to share as well.
In the meantime, to reiterate, we have successfully solidified our Nasdaq compliance status, and in so doing, de-risked one of our most valuable assets – our listing, which gives us the flexibility and opportunity to efficiently invest in growing businesses like CLMBR.
Best, Trent
Forward Looking Statements:
This post includes certain statements that are “forward-looking statements” for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements do not relate strictly to historical or current facts and reflect management’s assumptions, views, plans, objectives and projections about the future. Forward-looking statements generally are accompanied by words such as “believe”, “project”, “expect”, “anticipate”, “estimate”, “intend”, “strategy”, “future”, “opportunity”, “plan”, “may”, “should”, “will”, “would”, “will be”, “will continue”, “will likely result” or similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding the possibility of maintaining compliance with Nasdaq Listing Rules in the future, as well as the Company having a long and successful future on Nasdaq. The reader is cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the expectations and projections of the Company. Risks and uncertainties include but are not limited to: demand for our products; competition, including technological advances made by and new products released by our competitors; our ability to accurately forecast consumer demand for our products and adequately maintain our inventory; and our reliance on a limited number of suppliers and distributors for our products. A further list and descriptions of these risks, uncertainties and other factors can be found in filings with the Securities and Exchange Commission. To the extent permitted under applicable law, the Company assumes no obligation to update any forward-looking statements.